Claim - Arthur Cervantes_Redacted.pdf — Rialto City Council, September 10, 2024

CITY CLERK'S DATE STAMP

CITY OF RIALTO

LIABILITY CITY OF RIALTO
CLAIM FOR DAMAGES 2024 AUG 26 PM |: 27

TO PERSON OR PROPERTY RECEIVED

CITY CLERK

1. Claims for death, injury to person, or to personal property must be filed not later than six (6) months after the occurrence (Gov. Code §911.2).

2. Claims for damages to real property must be filed not later than one (1) year after the occurrence (Gov. Code §911.2). RETURN TO:

3. READ ENTIRE CLAIM FOR BEFORE FILING Rialto City Clerk's Office

4. ATTACH SEPARATE SHEETS, IF NECESSARY, TO GIVE FULL DETAILS Mail: 150 S. Palm Ave., Rialto, CA 92376 Address: 290 W. Rialto Ave., Rialto, CA 92376
CLAIMANT INFORMATION:

Arthur Cervantes

FULL NAME DATE OF BIRTH
HOME ADDRESS INCLUDING CITY, STATE & ZIP HOME TELEPHONE NO.

BUSINESS ADDRESS INCLUDING CITY, STATE & ZIP BUSINESS TELEPHONE NO.

ADDRESS AT WHICH CLAIMANT DESIRES TO RECEIVE

NOTICES OR COMMUNICATIONS REGARDING THIS CLAIM
(if different from home address provided above):

1. WHEN DID DAMAGE OR INJURY OCCUR? DATE: June 24, 2024 TIME: • AM O PM

2. PLACE OF ACCIDENT (OCCURRENCE) BE SPECIFIC - Describe fully and (if applicable) locate on diagram on reverse side of this sheet.

Where appropriate, give street names and addresses, measurements and landmarks.

Attached.

3. HOW DID DAMAGE OR INJURY OCCUR?
Attached.

4. WERE POLICE AT THE SCENE? DYES O NOS WERE PARAMEDICS AT THE SCENE? • YES ONO

5. WHAT PARTICULAR ACT OR OMISSION DO YOU CLAIM CAUSED THE INJURY OR DAMAGES? Give the name of the city/town employee causing the injury or damage, if known.

Attached.

6. GIVE TOTAL AMOUNT OF CLAIM Include estimate of amount of any prospective injury or damage $_8.416.26 HOW WAS THE ABOVE AMOUNT COMPUTED? Be specific, list doctor bills, repair estimates, etc. Please attach 2 estimates.

DAMAGES INCURRED TO DATE:

Item/Date: Attached. Amount: $
Item/Date: Amount: $
TOTAL AMOUNT CLAIMED AS OF PRESENTATION OF THIS CLAIM:

ESTIMATED PROSPECTIVE DAMAGES, AS FAR AS KNOWN:

Item/Date: Amount: $_
Item/Date: Amount: $_
TOTAL ESTIMATED AMOUNT PROSPECTIVE DAMAGES: $

7. WITNESSES TO DAMAGE OR INJURY List all persons known to have information (attach additional pages, if necessary) NAME: City of Rialto - Finance Department NAME:

ADDRESS: 150 S Palm Avenue, Rialto, CA 92376 ADDRESS:

TELEPHONE: (909) 820-2525 TELEPHONE: ()

8. IF INJURED, PROVIDE NAME, CONTACT INFORMATION AND DATE/TIME DOCTORS) OR HOSPITAL(S) VISITED:

NAME: NAME:

ADDRESS: ADDRESS:

TELEPHONE: |) TELEPHONE: L
DATE: _ TIME: • AM •PM DATE: TIME: • AM • PM •

9. PLEASE READ THE FOLLOWING CAREFULLY:

For all vehicle accident claims, place on the following diagram, the names of streets, including NORTH, EAST, SOUTH AND WEST directions. Indicate place of accident by "X" and by showing house numbers or distances to street corners.

If a city/town vehicle was involved, designate by letter "A" location of the City/Town vehicle when you first saw it, and by "B" location of yourself or your vehicle when you first saw City/Town vehicle; location of City/Town vehicle at time of accident by "A-1" and location of yourself or your vehicle at the time of the accident by "B-1" and the point of impact by "X".
→ NOTE: IF THE DIAGRAM BELOW DOES NOT FIT THE SITUATION, PLEASE ATTACH A PROPER DIAGRAM SIGNED BY THE CLAIMANT.

CITY CLERK 2024 AUG 26 CITY OF RIALTO
CURB

PARKWAY
1:27
7/1 SIDEWALK
I CERTIEY (OR DECLARE) UNDER PENALTY OF PERJURY THAT THE FOREGOING IS TRUE AND CORRECT.

SÍGNATURE OF CLAIMANT OR AGENT
Art Cervantes 8/26/2024

TYPE OR PRINT NAME DATE
Self

RELATIONSHIP TO CLAIMANT
NOTE: PRESENTATION OF A FALSE CLAIM IS A FELONY (CA PENAL CODE 72) RETURN CLAIM TO: RIALTO CITY CLERK'S OFFICE - 150 S. PALM AVE., RIALTO, CA 92376 Claim Summary - August 26, 2024
On February 1, 2024, I, Art Cervantes, noticed a reduction in pay for the check dated 2/2/24 for pay period 1/14/24-1/27/24 and contacted payroll. Payroll acknowledged that the cafeteria amount paid was $446.98 rather than the usual $775.00 ($1,550.00 per month per MOU). Payroll acknowledged moving forward that we should receive the full cafeteria amount. The email exchange is included as Attachment 1.

On June 24, 2024, HR issued a repayment agreement (Attachment 2) indicating that I have until June 27, 2024 to indicate how I am to pay back $3,330.40 with two options:
reduce vacation/sick leave bank or have a pay reduction for 12 pay periods at $277.53 per paycheck. It was on June 24, 2024 where it became known that not only did HR not want to pay what was owed in cafeteria funds but wanted to be compensated for cafeteria funds that were already paid to me. There were email exchanges since then about the cafeteria funds (Attachment 3). As part of the email change, HR claimed that the error occurred as part of the implementation of the new Tyler ERP finance system. This is an inaccurate claim as pointed out in the email exchange as the previous system, EDEN, had correctly compensated cafeteria plans. Proof of compensation through EDEN is included in Attachment 4.

Looking back at the history, Finance had requested clarification on the cash back for the unrepresented management group on February 5, 2024. The same day HR acknowledged that the benefits profile is silent on whether the unrepresented group is to receive a cash back and stated that on the next go around with negotiations that they will make sure to update the language (Attachment 5). HR makes the recommendation to continue to provide the cash back. HR also makes the claim that the phrase "cafeteria plan" is used interchangeable with "cash allowance". The IRS Section 125 (d) (1) defines a cafeteria plan as a written plan maintained by an employer under which all participants are employees and under which all participants may choose among two or more benefits consisting of cash and qualified benefits (Attachment 6).

The City recognized in January 2024 that several members of the unrepresented group were owed cafeteria funds (Attachment 7). It is my understanding several members of the unrepresented group and other labor groups have been pushed into paying back funds that were owed to them.

I do not owe the City of Rialto any money including the $3,330.40 HR is claiming that I owe. On the contrary, the City of Rialto owes me $8,416.26 (Attachment 8) for cafeteria funds not paid to me.

The issue becomes worse on how HR tried to go about covering their mistakes including modification of the Unrepresented Management 2024 Profile. Differences between the 2022 and 2024 profiles are included in Attachment 9. Differences are highlighted in yellow. In the 2024 profile, HR kept their promise on changing the language in the profile that was absent in the 2022 profile as stated in their February email to Finance. HR made the changes to the profile without sharing the changes with unrepresented management contrary to their statements on Resolution 8253 (June 25, 2024 City Council Meeting Tab 1) that was approved by City Council. Resolution 8253 states, "the city negotiated Memoranda of Understanding ("MOU") with... Unrepresented Management...". This did not happen. It also stated that "the City has given appropriate notice and an opportunity to meet and confer over all matters within the scope of representation to all bargaining units affected by these changes, and has completed that process...". This also did not happen. HR will claim that unrepresented management is not a bargaining unit, however, Resolution 8234 (May 28, 2024 City Council Meeting Tab 4) states "the City Council desires to incorporate changes to benefits similar to those of other Associations for the Executive Management and Unpresented Management...". Bargaining units and Associations are used interchangeably with the incorporation of changes to be similar to those of other Associations. Both resolutions are included as Attachment 10.

It is HR's intention to go to legal and council and claim that there was an erroneous overpayment due to the implementation of ERP which is not true.

The statements made on this summary are true to the best of my knowledge and I encourage anyone to verify through the attachments provided and the dates given.

ATTACHMENT 1
From:

To: Art Cervantes
Subject: RE: Cervantes Paycheck 2/2/24
Date: Thursday, February 1, 2024 10:50:23 AM
Attachments: image001.png
image002.png
No, this was just a technical error, I do apologize for that. Going forward you will see the usual cafeteria amount of $775.00
Best Regards,
Finance Department

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: # | Email: | Payroll: [email protected]
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From: Art Cervantes <[email protected]>
Sent: Thursday, February 1, 2024 10:47 AM
To:

Subject: RE: Cervantes Paycheck 2/2/24
Thank you
Either way works.

Do we anticipate this will be reoccurring on future paychecks? Thank you!
Art Cervantes, PMP
Engineering Manager
Engineering Services Department

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: 909-820-2531 | Email: [email protected] | Website: www.yourrialto.com

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From:

Sent: Thursday, February 1, 2024 10:05 AM
To: Art Cervantes <ACervantes @rialtoca.gov>
Subject: RE: Cervantes Paycheck 2/2/24
Good morning Art,
You are correct, it appears the cafeteria amount paid was $446.98 rather than the usual $775.00 you typically receive. This would be the reason for the error, thank you for bringing that to my attention. Would you like me to include the difference owed on your next check 2/16/24? Or would you like me to request a special pay run to be done next week?
Best Regards,
Finance Department

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: | Email: | Payroll: payroll@ rialtoca.gov
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From: Art Cervantes <[email protected]>
Sent: Thursday, February 1, 2024 7:56 AM
To:M
Subject: Cervantes Paycheck 2/2/24
Good morning
I think there might be an error in my paycheck for tomorrow.

Could you please look into it?
Much appreciated.

Thank you,
Art Cervantes, PMP
Engineering Manager
Engineering Services Department

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: 909-820-2531 | Email: [email protected] | Website: www.yourrialto.com

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ATTACHMENT 2
MEMO
To: Arthur Cervantes, Engineering Manager
From: Betty Mateo, HR/RM Analyst
Re: Overpayment of Cafeteria Dollars
Date: June 24, 2024
It has been determined that that you were overpaid $252.29 in cafeteria dollars per paycheck from your August 4, 2023 paycheck to your February 2, 2024 paycheck. This resulted in an overpayment of $3,330.40.

The City would like to offer two methods of repayment. You can either reduce your accrual leave banks as reimbursement for the overpayment or a pay reduction for the amount of pay periods listed below.

If you choose to make the repayment using your leave accruals, please indicate which leave banks you would like to use by entering the number of hours to exchange per leave bank.

Please return this signed memo with your election to Human Resources no later than 6:00 p.m. on Thursday, June 27, 2024.

Please select one of the following options for repayment of the incentive:

Leave Bank Reduction
Bank Current Balance Hours
Option 1: Vacation 99
Sick 76
Option 2: Pay reduction for 12 pay periods, $277.53 per pay check.

If I separate from the City of Rialto during the time of this payment arrangement, I agree for the remaining balance to be deducted from my last paycheck.

Employee Signature Date
ATTACHMENT 3
Art Cervantes
From: Shama Curian
Sent: Tuesday, July 9, 2024 3:37 PM
To: Art Cervantes; Betty Mateo
Cc: Erek Rubio; Fredy Nunez; Maria Diaz; Margaret Herrero; Mark Alvarado; Tanya Williams; Michael Milhiser
Subject: RE: Repayment Agreement
Good afternoon, Art
Thank you for your email. We will review and respond back shortly.

Kind regards,
Shama Curian
Director of Human Resources and Risk Management
x.7293
From: Art Cervantes <[email protected]>
Sent: Monday, July 8, 2024 5:58 PM
To: Shama Curian <[email protected]>; Betty Mateo < [email protected]> Cc: Erek Rubio <[email protected]>; Fredy Nunez <[email protected]>; Maria Diaz <[email protected]>; Margaret Herrero <[email protected]>; Mark Alvarado <[email protected]>; Tanya Williams < [email protected]>; Michael Milhiser <[email protected]>
Subject: RE: Repayment Agreement
Hello Shama,
Thank you for your response.

This is definitely not a payroll error and it is a surprise as I have correspondences from payroll in February indicating that that the cafeteria amount was going to be corrected to the full cafeteria amount when I inquired about the reductions in my paychecks. As I indicated previously on this email chain, the claim that an error occurred as a result of ERP implementation is also inaccurate as Eden had a period where it was correctly issuing the full cafeteria amount.

The City as referenced in your email (specifically HR) has not responded to the request on this email chain on 6/25 to please indicate where on the 2022 profile it states or breaks down that employees are not entitled to the unused cafeteria amount. The language is now included in the 2024 Profile (attached) but is completely absent in the 2022 Profile (attached). HR is well aware of this as the language was intentionally added to the 2024 Profile.

The language now in the 2024 Profile is a separate topic on its own. In the recommendation to council to approve Resolution No. 8253 at the 6/25/24 council meeting, it states "the City has given appropriate notice and an opportunity to meet and confer over all matters within the scope of representation to all bargaining units affected by these changes, and has completed that process...". Did unrepresented management receive notice and were given an opportunity to meet and confer over all matters within the scope of the profile? If so, please indicate when we were provided the profile to review for input.
1 RECOMMENDATION
Staff recommends that the City Council:
1) Conduct a public hearing on the City's FY2024-25 Proposed Budget. 2) Adopt a Resolution to approve and adopt the following:
a. Resolution No. B251, RHA Resolution No. 08-24, RUA Resolution No. 08-36 and Rialto Redevelopment Successor Agency Resolution No. 01-24 for the City's Fiscal Year 2024-25 Annual Budget;
b. Resolution No. 8252 Adopting the Fiscal Year 2024-25 Appropriations Limit (Gann Limit):
c. Resolution No. 8253 Adopting the Fiscal Year 2024-25 Citywide Classification and Compensation Plan
WHEREAS, the City negotiated Memoranda of Understanding ("MOU") with the Rialto Police Benefit Association - Police General Bargaining Unit ("RPBA-General"): Rialto Police Benefit Association - Management Bargaining Unit ("RPBA- Management): the Rialto Fire Management Association ("RFMA"), the Rialto Professional Firefighters' Association Local 3688. ("Local 3688): the Rialto City Employees' Association (RCEA"), the Unrepresented.

Unrepresented Management and Executive Management: and
WHEREAS, the City has given appropriate notice and an opportunity to meet and confer over all matters within the scope of representation to all bargaining units affected by these changes. and has completed that process: and
To date, I still maintain that I do not owe the city any back pay and the city owes me over $8,000 in compensation related to this matter as stated previously. Also, to date the City (HR) has not been able to prove otherwise.

As such, please respond to the following questions by the close of business on July 11, 2024 so | can appropriately respond to you by the close of business on July 15, 2024.

1. Where on the 2022 Unrepresented profile does it state or break down that unpresented management employees are not entitled to the unused cafeteria amount?

2. Why did HR add language to the 2024 Unrepresented profile that was absent in the 2022 Unrepresented profile? If the language in the 2022 Unrepresented profile was sufficient to support your current position, why was language added to the 2024 Unrepresented profile?

3. Did unrepresented management receive notice and were given an opportunity to meet and confer over all matters within the scope of the 2024 Unrepresented profile, and if so, when?

4. Did City Council approve Resolution No. 8253 with inaccurate statements on Page 1 of the resolution? Thank you,
Art Cervantes, PMP
Engineering Manager

CITY OF RIALTO
Public Works - Engineering
335 W Rialto Avenue, Rialto, CA 92376
Office: 909-820-2531 | Email: [email protected]
Hours of Operation: Monday - Thursday 7am-6pm
2 From: Shama Curian <scurian @rialtoca gov>
Sent: Monday, July 8, 2024 10:37 AM
To: Art Cervantes <[email protected]>; Betty Mateo < [email protected]> Cc: Erek Rubio <[email protected]>; Fredy Nunez <[email protected]>; Maria Diaz <[email protected]>; Margaret Herrero <[email protected]>; Mark Alvarado <[email protected]>; Tanya Williams <[email protected]> Subject: RE: Repayment Agreement
Hi Art,
The City has reviewed your response to its attempt to correct the payroll error, which resulted in you being over-paid. The City reiterates that your health cafeteria benefit does not provide for you receiving the unused cash amount that was mistakenly provided. As indicated in the City's prior communications with you, you were previously receiving the correct benefit before this error and so, this should not come as a surprise.

Please be aware that in cases like this, where we are unable to resolve due payments by agreement, we refer them to our legal counsel. If we do not hear from you by close of business on Monday, July 15, 2024, regarding repayment, we will forward to counsel and recommend collection through use of all legally available means.

Kind regards,
Shama Curian
Director of Human Resources and Risk Management
x.7293
From: Art Cervantes <[email protected]>
Sent: Thursday, June 27, 2024 6:12 PM
To: Betty Mateo <[email protected]>
Cc: Erek Rubio <[email protected]>; Fredy Nunez <[email protected]»; Maria Diaz <[email protected]>; Margaret Herrero <[email protected]>; Mark Alvarado <[email protected]>; Shama Curian <[email protected]> Subject: RE: Repayment Agreement
Thank you Betty. I didn't see anything come through today.

Nonetheless, I look forward to the response by 6pm on July 3, 2024 on how and when HR/payroll will be issuing the back payment.

Have a good weekend.

Art Cervantes, PMP
Engineering Manager
Engineering Services Department

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: 909-820-2531 | Email: [email protected] | Website: www.yourrialto.com Hours of Operation: Monday - Thursday 7am-6pm

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From: Betty Mateo <[email protected]>
Sent: Thursday, June 27, 2024 8:34 AM
To: Art Cervantes <ACervantes@ rialtoca.gov>
Cc: Erek Rubio <[email protected]>; Fredy Nunez <[email protected]>; Maria Diaz <[email protected]>; Margaret Herrero <[email protected]>; Mark Alvarado <[email protected]>; Shama Curian <[email protected]> Subject: RE: Repayment Agreement
Good morning Art,
I apologize for not responding sooner. Shama said she would respond to you, she was out yesterday but I am sure she will respond today.

Betty Mateo
HR/RM Analyst
909.421.7255
From: Art Cervantes <ACervantes @rialtoca.gov>
Sent: Thursday, June 27, 2024 8:32 AM
To: Betty Mateo <[email protected]>
Cc: Erek Rubio <[email protected]>; Fredy Nunez <[email protected]>; Maria Diaz <[email protected]>; Margaret Herrero <[email protected]>; Mark Alvarado <[email protected]>; Shama Curian <[email protected]> Subject: RE: Repayment Agreement
Good morning Betty,
I am following up on this since I am yet to receive a response.

The claim that an error occurred as a result of ERP implementation is inaccurate as Eden had a period where it was correctly issuing the full cafeteria amount. It appears that Eden at some point and subsequently ERP each correctly issued the full cafeteria amount until a change was made in the system to fit the cafeteria language in other MOUs despite that cafeteria language being non-existent in the 2022 Rialto Management Benefits Profile. I have substantial information to support these claims.

The truth of the matter is that I do not owe the city $3,330.40. In fact, after the July 5, 2024 pay check (pay period June 16, 2024 - June 29, 2024) the city will owe me over $8,000 in compensation related to this issue. The city shall not issue pay reductions nor leave bank reductions pursuant to your June 24, 2024 "Overpayment of Cafeteria Dollars" Memo provided that I and presumably others are subjected to additional payment. 4 It's my preference for this to be resolved at this level without the need to escalate. However, considering how I have not received a response to my previous email and now have concerns about receiving a response to this email, I ask that you please provide a response by 6pm on July 3, 2024 communicating how and when HR/Payroll will be issuing the $8,000+ in back pay related to this issue for myself and the back pay amounts presumably owed to the others that received your memo. If a response is not received on how and when HR/payroll will be issuing the back payment by 6pm on July 3, 2024, I will consider that as an unwillingness to resolve this issue and will need to escalate this issue and seek legal recourse as necessary. I look forward to successful collaboration in resolving this issue.

Thank you,
Art Cervantes, PMP
Engineering Manager
Engineering Services Department

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: 909-820-2531 | Email: [email protected] | Website: www.yourrialto.com Hours of Operation: Monday - Thursday 7am-6pm
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From: Art Cervantes
Sent: Tuesday, June 25, 2024 12:56 PM
To: Betty Mateo <[email protected]>
Cc: Erek Rubio <[email protected]>; Fredy Nunez <[email protected]>; Maria Diaz <[email protected]>; Mark Alvarado <[email protected]>; Shama Curian <[email protected]> Subject: RE: Repayment Agreement
Hello Betty,
Thank you for your response and thank you for elaborating on how payroll is determining the cafeteria amount.

I agree with your highlighted screenshot from the 2022 profile.

Cafeteria Plan Allotment:

Employees in the Unit shall be provided with a Cafeteria Plan, which will be administered by the City pursuant to Section 125 of the Internal Revenue Code. The Cafeteria Plan is designed to give employees the flexibility to choose various medical and dental benefits provided through City plans. The employee may also choose the opt-out provision of the Cafeteria Plan as outlined beiow. The City's contribution to the Cafeteria Plan for each employee will be one thousand, five hundred and fifty dollars per month ($1,550) to go towards the employee's contributions for health, vision, and dental insurance premiums.

The 2024 profile states the same thing under Cafeteria Plan Allotment (minus the dollar sign). I also believe this amount should be $1,800.
5 Cafeteria Plan Allotment:

Employees in the Unit shall be provided with a Cafeteria Plan. which will be administered by the City pursuant to Section 1.25 of the luternal Revenue Code. The Cafeteria Plan is designed to give employees the flexibility to choose various medical, vision and dental benefits provided through City plans. The employee may also choose the opt-out provision of the Cafeteria Plan as outlined below. The City's contribution to the Cafeteria Plan for each employee will be one thousand. five hundred and fifty dollars per month (1,550) to go towards the employee's contributions for health. vision, and dental insurance premiums.

Despite these statements, the new 2024 profile clearly defines what happens to the cafeteria amounts for employees hired before December 31, 2018 and employees hired on or after January 1, 2019. The new 2024 profile is very explicit on the details of the cafeteria amount. Other MOUs during the same time period as the 2022 profile also clearly define the details of the cafeteria amount. Referenced profiles and MOUs are attached.

Please indicate where on the 2022 profile where it states or breaks down that employees are only entitled to the amounts you defined in your previous email.

Thank you,
Art Cervantes, PMP
Engineering Manager
Engineering Services Department

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: 909-820-2531 | Email: [email protected] | Website: www.yourrialto.com Hours of Operation: Monday - Thursday 7am-6pm

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From: Betty Mateo <[email protected]>
Sent: Tuesday, June 25, 2024 10:19 AM
To: Art Cervantes <ACervantes @rialtoca gov>
Cc: Erek Rubio <[email protected]>; Fredy Nunez <[email protected]>; Maria Diaz <[email protected]>; Mark Alvarado <malvarado @rialtoca.gov>; Shama Curian <[email protected]> Subject: RE: Repayment Agreement
Good morning Art,
Below is the breakdown Payroll provided me of your overpayment. 6 Employee Last Name First Name Check Date Pay Pay Description Medical Caf EE Owes Type
2462 CERVANTES ARTHUR 08/04/2023 470 CAFETERIA PLAN - FULL USE 1550 522.71 775.00 252.29 2462 CERVANTES ARTHUR 08/18/2023 470 CAFETERIA PLAN - FULL USE 1550 522.71 775.00 252.29 2462 CERVANTES ARTHUR 09/01/2023 470 CAFETERIA PLAN - FULL USE 1550 522.71 775.00 252.29 2462 CERVANTES ARTHUR 09/15/2023 470 CAFETERIA PLAN - FULL USE 1550 522.71 775.00 252.29 2462 CERVANTES ARTHUR 10/13/2023 470 CAFETERIA PLAN - FULL USE 1550 522.71 775.00 252.29 2462 CERVANTES ARTHUR 10/27/2023 470 CAFETERIA PLAN - FULL USE 1550 522.71 775.00 252.29 2462 CERVANTES ARTHUR 11/10/2023 470 CAFETERIA PLAN - FULL USE 1550 522.71 775.00 252.29 2462 CERVANTES ARTHUR 11/24/2023 470 CAFETERIA PLAN - FULL USE 1550 522.71 775.00 252.29 2462 CERVANTES ARTHUR 12/08/2023 470 CAFETERIA PLAN - FULL USE 1550 446.98 775.00 328.02 2462 CERVANTES ARTHUR 12/22/2023 470 CAFETERIA PLAN - FULL USE 1550 446.98 775.00 328.02 2462 CERVANTES ARTHUR 01/05/2024 470 CAFETERIA PLAN - FULL USE 1550 446.98 775.00 328.02 2462 CERVANTES ARTHUR 01/19/2024 470 CAFETERIA PLAN - FULL USE 1550 446.98 775.00 328.02 2462 CERVANTES ARTHUR 02/02/2024 402 CAFETERIA VARIABLE AMOUNT 446.98 446.98 0.00 Total 3,330.40
If you look at your paychecks prior to the ERP implementation (which is when this error occurred) you will see you were receiving the correct cafeteria amount of $522.71. cafmgt CAFETERIA DOLLARS MGMT AT-WIL AX 522.71 0.0000
Start 12/18/2022 Account •Add to salary OFLSA cycle
End PA # •Follow hour type
Status Active PP limit Annl limit Life limit Hours 0.00 The 2020 profile states you are given $1550 per month to go towards health dental and vision premiums. (Screenshot below)
Cafeteria Plan Allotment:

Employees in the Unit shall be provided with a Cafeteria Plan, which will be administered by the City pursuant to Section 125 of the Internal Revenue Code. The Cateteria Plan 1s designed to give employees the flexibility to choose various medical and dental benefits provided through City plans. The employee may also choose the opt-out provision of the Cafeteria Plan as outlined below. The City's contribution to the Cafeteria Plan for each employee will be one thousand, five hundred and fifty dollars per month ($1.550) to go towards the employee's contributions for health, vision, and dental insurance premiums.

Based on your health dental and vision selections, the City provided you with $522.71 for the 2023 year, until the ERP implementation where the amount was changed in error. Please see screen shot below for your selections and bi-weekly cost that matches the amount you were receiving in Eden, pre ERP implementation.
7 PLAN NAME COVERAGE EMPLOYEE CO
ARTHUR CERVANTES (Employee: $496.30/B
CalPERS
CalPERS Platinum - Region 3
(Pre-tax)
Effective 02/01/2022-12/31/2023
ARTHUR CERVANTES (Employee› $21.94/Bi-
Principal Dental POS
(Pre-tax)
Effective 01/01/2023
ARTHUR CERVANTES (Employee! $4.47/Bi-wi
Superior Vision
(Pre-tax)
Effective 01/01/2023
I have also attached the 2024 Benefit Profile that Council approved on 5/28/2024 for your reference.

As for moving forward, Payroll is correcting the cafeteria amount in your paycheck of $419.05 per pay period per your 2024 benefit selectoins below.

PLAN NAME COVERAGE EMPLOYEE CC
A CaIPERS ARTHUR CERVANTES Emcloyee: $392.64/B
CaPERS Gold - Region 3
(Pre-tax)
Effective 01/01/2024
ARTHUR CERVANTES (Employee $21.94/вi-
Principal Dental POS
(Pre-tax)
Effective 01/01/2023
ARTHUR CERVANTES (Employee $4.47/Bi-w
Superior Vision
(Pre-tax)
Effective 01/01/2023
I apologize for the confusion this has caused and if you need more time to submit the repayment agreement, or need to extend the amount of pay periods, we can certainly discuss as we are flexible and do not want to create unnecessary hardship for you. 8 If you have any other questions, please feel free to give me a call.

Betty Mateo
HR/RM Analyst
909.421.7255
From: Art Cervantes <[email protected]>
Sent: Tuesday, June 25, 2024 7:54 AM
To: Betty Mateo <[email protected]>
Cc: Erek Rubio <[email protected]>; Fredy Nunez <[email protected]>; Maria Diaz <mdiaz@ rialtoca.gov>; Mark Alvarado <[email protected]>
Subject: RE: Repayment Agreement
Good morning Betty,
Finance's accounting and budgeting issues are well known.

I presume that there is substantial backup information to support the determination made on the attached memo.

Provided that I am only given until 6pm on Thursday, June 27, 2024 to respond, please submit the backup information supporting these claims by the end of today, Tuesday, June 25, 2024 at 6pm.

As part of that transparency, please also break down how cafeteria amounts are determined relative to the attached Rialto Management Benefits profile approved by city council on May 10, 2022, how they differentiate from the various amounts determined throughout the period you identified, and if an overpayment was made in error how that has been corrected moving forward.

Thank you,
Art Cervantes, PMP
Engineering Manager
Engineering Services Department

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: 909-820-2531 | Email: [email protected] / Website: www.yourrialto.com Hours of Operation: Monday - Thursday 7am-6pm
CUSTOMERCARE|SAME DAY RESPONSE

BRIDGE TO PROGRESS
From: Betty Mateo <[email protected]>
Sent: Monday, June 24, 2024 6:31 PM
To: Art Cervantes <[email protected]>
Cc: Erek Rubio <[email protected]>; Fredy Nunez <[email protected]>; Maria Diaz < [email protected]> Subject: Repayment Agreement
9 Good afternoon Art,
Please see the attached repayment agreement and call me if you have any questions.

Thank you,
Betty Mateo
HR/RM Analyst
Human Resources Department

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: 909-421-7255
Email: [email protected] | Website: www.yourrialto.com

CUSTOMER CARELSAME DAY RESPONSE
ENCDRFORATED NOK 17 1911
10 ATTACHMENT 4
6/27/24,8:15 AM Check Detail
City of
City of Rialto
Rialto 150 S Palm Avenue
Rialto, CA 92376
Bridge To Progress
Check No. 238993 Type Direct Deposit
Issue Date 10/14/2022 Pay Period 09/25/22 - 10/08/22
Emp. Name CERVANTES, ARTHUR Gross Pay
Address Net Pay
YTD Gross
Emp. No. YTD Net
Dept.

SSN
-- Direct Deposit Details ---
Account Type Account Number Amount
Checking
----- Earnings -----
Description Hours Rate Amount Year To Date

REGULAR TIME
CAFETERIA DOLLARS MGMT AT-WILL 0.00 0.00 775.00 775.00
EDUCATIONAL INCENTIVE 0.00 0.00
BILINGUAL PAY 0.00 0.00
EXCESS LIFE 0.00 0.00
RETRO PAY 0.00 0.00
RETRO EDUCATION INCENTIVE 0.00 0.00
UNPAID TIME OFF 0.00 0.00
RETRO PAY NON PERSABLE 0.00 0.00
HOLIDAY TIME EARNED 0.00 0.00
CERTIFICATE PAY MID MANAGER NP 0.00 0.00
CAFETERIA DOLLARS MID 0.00 0.00
HOLIDAY 0.00 0.00
FLOATING HOLIDAY EARNED 0.00 0.00
Total 80.00
https://edenweb.riattoca.gov/Default.asp?Build=PY.pyEmployee.pyCheckHist.pyCheckDetail&Key=ESYEMPLR.EMP_ID=3116;ESYCHKHH.CHK_DO.. 1/2 6/27/24, 8:16 AM Check Detail
City of
City of Rialto
Rialto 150 S Palm Avenue
Rialto, CA 92376
Bridge To Progress
Check No. 239418 Type Direct Deposit
Issue Date 10/28/2022 Pay Period 10/09/22 - 10/22/22
Emp. Name CERVANTES, ARTHUR Gross Pay
Address Net Pay
YTD Gross
Emp. No. YTD Net
Dept.

SSN
---- Direct Deposit Details -----
Account Type Account Number Amount
Checking
----- Earnings -----
Description Hours Rate Amount Year To Date

REGULAR TIME
CAFETERIA DOLLARS MGMT AT-WILL 0.00 0.00 775.00 1,550.00 EDUCATIONAL INCENTIVE 0.00 0.00
BILINGUAL PAY 0.00 0.00
EXCESS LIFE 0.00 0.00
RETRO PAY 0.00 0.00
RETRO EDUCATION INCENTIVE 0.00 0.00
UNPAID TIME OFF 0.00 0.00
RETRO PAY NON PERSABLE 0.00 0.00
HOLIDAY TIME EARNED 0.00 0.00
CERTIFICATE PAY MID MANAGER NP 0.00 0.00
CAFETERIA DOLLARS MID 0.00 0.00
HOLIDAY 0.00 0.00
FLOATING HOLIDAY EARNED 0.00 0.00
Total 80.00
https://edenweb.rialtoca.gov/Default.asp?Build=PY.pyEmployee.pyCheckHist.pyCheckDetail&Key=ESYEMPLR.EMP_ID=3116;ESYCHKHH.CHK_DO.. 1/2 6/27/24, 8:18 AM Check Detail
City of
City of Rialto
Rialto 150 S Palm Avenue
Rialto, CA 92376
Bridge To Progress
Check No. 239848 Type Direct Deposit
Issue Date 11/10/2022 Pay Period 10/23/22 - 11/05/22
Emp. Name CERVANTES, ARTHUR Gross Pay
Address Net Pay
YTD Gross
Emp. No. YTD Net
Dept.

SSN
---- Direct Deposit Details --__
Account Type Account Number Amount
Checking
----- Earnings -----
Description Hours Rate Amount Year To Date

SPECIAL PAY SICK

REGULAR TIME

SPECIAL PAY VACATION
CAFETERIA DOLLARS MGMT AT-WILL 0.00 0.00 775.00 2,325.00 EDUCATIONAL INCENTIVE 0.00 0.00
BILINGUAL PAY 0.00 0.00
EXCESS LIFE 0.00 0.00
RETRO PAY 0.00 0.00
RETRO EDUCATION INCENTIVE 0.00 0.00
UNPAID TIME OFF 0.00 0.00
RETRO PAY NON PERSABLE 0.00 0.00
HOLIDAY TIME EARNED 0.00 0.00
CERTIFICATE PAY MID MANAGER NP 0.00 0.00
CAFETERIA DOLLARS MID 0.00 0.00
HOLIDAY 0.00 0.00
FLOATING HOLIDAY EARNED 0.00 0.00
Total 187.00
https://edenweb.rialtoca.gov/Default.asp?Build=PY.pyEmployee.pyCheckHist.pyCheckDetail&Key=ESYEMPLR.EMP_ID=3116;ESYCHKHH.CHK_DO... 1/2 6/27/24,8:21 AM Check Detail
City of
City of Rialto
Rialto 150 S Palm Avenue
Rialto, CA 92376
Bridge To Progress
Check No. 240277 Type Direct Deposit
Issue Date 11/25/2022 Pay Period 11/06/22 - 11/19/22
Emp. Name CERVANTES, ARTHUR Gross Pay
Address Net Pay
YTD Gross
Emp. No. YTD Net
Dept.

SSN
- Direct Deposit Details ----
Account Type Account Number Amount
Checking
---- Earnings----
Description Hours Rate Amount Year To Date

REGULAR TIME
CAFETERIA DOLLARS MGMT AT-WILL 0.00 0.00 775.00 3,100.00

HOLIDAY

EDUCATIONAL INCENTIVE

BILINGUAL PAY

EXCESS LIFE

RETRO PAY NON PERSABLE

RETRO PAY

SPECIAL PAY SICK

UNPAID TIME OFF

SPECIAL PAY VACATION

RETRO EDUCATION INCENTIVE

HOLIDAY TIME EARNED

VACATION TIME EARNED

CAFETERIA DOLLARS MID

FLOATING HOLIDAY EARNED

CERTIFICATE PAY MID MANAGER NP
Total
https://edenweb.rialtoca.gov/Default.asp?Build=PY.pyEmployee.pyCheckHist.pyCheckDetail&Key=ESYEMPLR.EMP_ID=3116;ESYCHKHH.CHK_DO.. 1/2 ATTACHMENT 5
We will need to run a special pay run to pay funds owed to employees as well as have Abe correct the pay codes for these Management at Will employees.

Please let me know if there are any questions.

Thank you,
Katherine I. Stevens
Director of Finance

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: 909-421-7242 | Mobile: 909-744-7533 | Emall: [email protected] CUSTOMERCARE|SAME DAY RESPONSE

BRIDGE TO PROGRESS
From: Shama Curian <scurian @ rialtoca.gov>
Sent: Monday, February 5, 2024 10:10 AM
To: Katherine Stevens <[email protected]>
Cc: Tanya Williams < [email protected]>
Subject: RE: Management at Will Benefit
Good morning, Katherine
As discussed this morning, it seems that the employees in the unrepresented management group were currently receiving a cash-back.

I understand that the language says "cafeteria plan" and under the IRS code, a cafeteria plan is an allotment provided to use up to that amount with no opportunity to receive monies if the maximum allotment was not used. However, in looking at other MOUs, the phrase "cafeteria plan" is used interchangeably with "cash allowance". With this next go- around with negotiations I will make sure to update that language.

Thank you for bringing this to my attention.

Kind regards,
Shama Curian
Director of Human Resources and Risk Management
x.7293
From: Katherine Stevens <kstevens@ rialtoca.gov>
Sent: Monday, February 5, 2024 9:50 AM
2 To: Shama Curian <[email protected]>
Cc: Tanya Williams <[email protected]>
Subject: Management at Will Benefit
Importance: High
Hi Shama,
The payroll team is still not clear on the Management at Will Cafeteria Plan Allotment based on the MOU.

Is the Management at Will group that selects insurance entitled to the full $1550 or only what is being used? Thank you for your assistance.

Katherine I. Stevens
Director of Finance

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: 909-421-7242 | Mobile: 909-744-7533 | Email: [email protected]

CUSTOMERCAREISAME DAY RESPONSE

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ATTACHMENT 6
Additional Permitted Election Changes for Health Coverage under Section 125 Cafeteria Plans
Notice 2022-41

PURPOSE
This notice expands the application of the permitted change-in-status rules for health coverage under a section 125 cafeteria plan (cafeteria plan). In particular, this notice addresses the situation in which, during a period of coverage (typically a plan year), a cafeteria plan participant may wish to revoke the employee's election under the cafeteria plan for other- than-self-only (family) coverage under a group health plan (other than a flexible spending arrangement (FSA)) in order to allow one or more family members to enroll in a Qualified Health Plan (QHP) through a Health Insurance Exchange (Exchange) in the individual market. Under this notice, the employee will be able to elect out of family coverage and into self-only coverage (or family coverage including one or more already-covered related individuals) under that health plan prospectively during a period of coverage, provided specific conditions are satisfied.

The Department of the Treasury and the Internal Revenue Service intend to modify the Income Tax Regulations under section 125 of the Internal Revenue Code (Code) consistent with the provisions of this notice. 1 Taxpayers may rely on the guidance in this notice for plan amendments allowing elections effective on or after January 1, 2023.

This notice is being issued in conjunction with regulations under section 36B, which provide that the affordability of an offer of group health plan coverage for a related individual is based on the employee's cost to cover the employee and the employee's related individuals. See § 1.36B- 2(c)(3)(V)(A)(2); 87 FR 61979 (Oct. 13, 2022).

BACKGROUND
Section 125(d)(1) defines a cafeteria plan as a written plan maintained by an employer under which all participants are employees and under which all participants may choose among two or more benefits consisting of cash and qualified benefits. Section 125(f) generally defines a qualified benefit as any benefit which, with the application of section 125(a), is not includable in the gross income of the employee by reason of an express provision of the Code (with certain exceptions). Qualified benefits include employer-provided accident and health plans excludable from gross income under sections 106 and 105(b), but exclude long term care insurance and certain QHPs.

Consistent with longstanding rules for cafeteria plans, a written cafeteria plan generally must provide that elections are irrevocable, except 2 ATTACHMENT 7
Thank you,
Tery Diaz
Payroll Analyst
Finance Department
From: Betty Mateo < [email protected].?
Sent: Tuesday, February 6, 2024 1:19 PM
To: Maria Diaz ≤[email protected]>
Ce: Erek Rubio <erubio @rialtoca gov»; Katherine Stevens «Kstevens@rialtoca,gov> Subject: RE: Cafeteria Details
Hi Maria,
Let me know if you have any questions.

Betty Mateo
HR/RM Analyst
909.421.7255
From: Maria Diaz <[email protected]>
Sent: Tuesday, February 6, 2024 12:24 PM
To: Betty Mateo<[email protected]>
Cc: Erek Rubio <erubio@rialtoca gov»; Katherine Stevens <Kstevens@rialtoca,gov» Subject: FW: Cafeteria Details
Hello Betty,
Have you had a chance to review and confirm the cafteria adjustments on the attached spreadsheet? We are looking to implemen hese for this current payroll that we will be processing, PPE 2/10/2 Thank you,
Tery Diaz.

Payroll Analyst
Finance Department

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: (909) 820-2637 | Email: mdiaz @rialtoca.gox| Payroll: [email protected] Office Extension: 2012

CUSTOMER CARESAME DAY RESPONSE

BRIDGE TO PROGRESS
From: Maria Diaz
ent: Tuesday, January 30, 2024 10:53 Al
o: Betty Mateo <[email protected]
Cc: Katherine Stevens <kstevens @rialtoca.gov>; Erek Rubio <[email protected]? Subject: RE: Cafeteria Details
Hello Betty,
Thank you,
Tery Diaz
Payroll Analyst
Finance Department

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 9237
)ffice: (909) 820-2637 | Email: [email protected] | Payroll: [email protected] Office Extension: 2012

CUSTOMER CARESAME DAY RESPONSE

BRIDGE TO PROGRESS
Sc: Kat-RE: Catteria Detevens@rialtocagoy; Erck Rubio serubio@rialtocag04> Good morning Maria,
I am confused because reviewing some of these employees on the list, they did not make any open enrollment changes.

I have placed the executives, City Clerk and Council Member's Benefit summaries in the Payroll processing folder for your reference. I believe with those you are stating the caf amount needs to be changed based on their benefit selections and the rates that changed for the 2024 calendar year, correct? I attached the benefit guide that has the rates listed.

With the others, can you please put what those employees' current cafeteria code and amount is that you would like me to review?
Thank you.

Betty Mateo
HR/RM Analyst
909.421.7255
From: Maria Diaz <[email protected]>
Sent: Tuesday, January 23, 2024 4:48 PM
To: Betty Mateo <[email protected]>
C'c: Katherine Stevens <[email protected]>; Erek Rubio <grubio@rialtoca gov ubieet: Cafeteria Detail
Hello Betty,
Could you please review the attached list, Cafeteria OE Adjustments, and provide the corresponding information for everyone listed?"
I have also provided the Cafeteria Plan Code/Crosswalk for reference.

Our target goal is to have these adjustments reflected in ERP for the 2/10/24 payroll; we would need the information to be provided by the processing deadline for that pay period, Monday, February 5th (COB).

Please feel free to reach out if you should have any questions.

Thank you,
Tery Diaz
Payroll Analyst
Finance Department

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: (909) 820-2637 | Email: mdiaz@rialtoca,gox | Payroll payroll@rialtoca gov Office Extension: 2012

CUSTOMER CAREISAME DAY RESPONSE

BRIDGE TO PROGRESS
Hello Katherine,
I have attached my caf audit for the Management at Will employees. The main sheet will contain a list of all the mgmt employees along with their current and updated caf codes. I also included a column to show if they require a special for any missed caf payments. If they are owed, you will see a separate sheet for that employee with a breakdown of the caf amount missed.

Please let me know if you have any questions or concerns, thank you.

Best Regards,
Abe Abdelnour
Payroll Technician
Finance Department

CITY OF RIALTO
50 S. Palm Avenue, Rialto, CA 9237
fice: 909-820-2525 x8055 | Email: iabdelnour/@rialtoca.gov | Payroll: [email protected]

CUSTOMERCAREISAME DAY RESPONSE
goldlogo

BRIDGE TO PROGRESS
From: Katherine Stevens <[email protected]>
Sent: Monday, February 5, 2024 11:00 AM
To: Erek Rubio <[email protected]>; Maria Diaz <ndiaz @rialtoca.gov>; Fredy Nunez <fnunez @rialtoca.gov>; Ibrahim Subject: era banner an at coal benefite
Good morning,
Please see the interpretation for Management at Will below Erek update the Cafeteria spreadsheet that is used by the team.

We will need to run a special pay run to pay funds owed to employees as well as have Abe correct the pay codes for these Management at Will employees.

Please let me know if there are any questions.

Thank you,
Katherine I. Stevens
Director of Finance

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
CUSTOMERCAREISAME DAY Ofi: 909-421-7242 Mobile: 9097447533| Email: stevens @rialtocagox

BRIDGE TO PROGRESS
From: Shama Curian <scurian(@rialtoca.gov>
Sent: Monday, February 5, 2024 10:10 AM
To: Katherine Stevens <kstevens@rialtoca,gov»
Cc: Tanya Williams < [email protected]>
Subject: RE: Management at Will Benefit
Good morning, Katherine
As discussed this morning, it seems that the employees in the unrepresented management group were currently receiving a cash- back.

Since the benefits profile for this group is silent on whether they receive a cash back, and because we have already established a past practice of providing the cash back to those employees in this group, my recommendation is to continue to provide the cash I understand that the language says "cafeteria plan" and under the IRS code, a cafeteria plan is an allotment provided to use up to that amount with no opportunity to receive monies if the maximum allotment was not used. However, in looking at other MOUs, the phrase "cafeteria plan" is used interchangeably with "cash allowance". With this next go-around with negotiations I will make sure to update that language.

Thank you for bringing this to my attention.

Please let me know if you have any questions or concerns, thank you.

Best Regards,
Arol technicians
inance Departmen
"ITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: 909-820-2525 x8055 | Email: iabdelnour@rialtoca gov i Payroll: payroll@rialtoca,gov

CUSTOMERCAREISAME DAY RESPONSE
goldlogo

BRIDGE TO PROGRESS
From: Katherine Stevens <[email protected]>
Sent: Monday, February 5, 2024 11:00 AM
To: Erek Rubio <erubio@rialtocagov»; Maria Diaz <[email protected]>; Fredy Nunez <[email protected]>; Ibrahim delnour <[email protected]
abject: FW: Management at Will Bene
Good morning,
Please see the interpretation for Management at Will below.

Erek update the Cafeteria spreadsheet that is used by the team.

We will need to run a special pay run to pay funds owed to employees as well as have Abe correct the pay codes for these Management at Will employees.

Please let me know if there are any questions.

Thank you,
Katherine I. Stevens
Director of Finance

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376

CUSTOMERCAREISAME DAY

BRIDGE TO PROGRESS
5252
Good morning, Katherine
As discussed this morning, it seems that the employees in the unrepresented management group were currently receiving a cash- back.

I understand that the language says "cafeteria plan" and under the IRS code, a cafeteria plan is an allotment provided to use up to the phrase citri plan is used echangal vite cash lowne let ones go one it realist ok, sure to update that language
Thank you for bringing this to my attention.

Kind regards,
Shama Curian
Director of Human Resources and Risk Management
x. 7293
From: Katherine Stevens <[email protected]»
Sent: Monday, February 5, 2024 9:50 AM
To: Shama Curian <[email protected]>
Ce: Tanya Williams <[email protected]>
Subject: Management at Will Benefit
Importance: High
Hi Shama,
The payroll team is still not clear on the Management at Will Cafeteria Plan Allotment based on the MOU.

Is the Management at Will group that selects insurance entitled to the full $1550 or only what is being used? Thank you for your assistance.

Katherine I. Stevens
Director of Finance

CITY OF RIALTO
50 S. Palm Avenue, Rialto, CA 923]
fice: 909-421-7242 | Mobile: 909-744-7533 | Email: [email protected]

CUSTOMERCAREI

SAME DAY RESPONSE

BRIDGE TO PROGRESS
Hello Katherine,
I have attached my caf audit for the Management at Will employees. The main sheet will contain a list of all the mgmt employees long with their current and updated caf codes. I also included a column to show if they require a special for any missed ca ayments. If they are owed, you will see a separate sheet for that employee with a breakdown of the caf amount misse Please let me know if you have any questions or concerns, thank you.

Best Regards,
Abe Abdelnour
Payroll Technician
Finance Departinent

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: 909-820-2525 x8055 | Email: [email protected] | Payroll: [email protected] CUSTOMERCARE|SAME DAY RESPONSE
goldiogo

BRIDGE TO PROGRESS
From: Katherine Stevens <kstevens@rialtocagov>
Sent: Monday, February 5, 2024 11:00 AM
lo: Erek Rubio <erubio @rialtocagov»; Maria Diaz <mdiaz@rialtosagov>; Fredy Nunez <funez@raltoca,pov»; Ibrahin bdelnour <[email protected]
ubject: FW: Management at Will Benel
Good morning,
Please see the interpretation for Management at Will below.

Erek update the Cafeteria spreadsheet that is used by the team.

We will need to run a special pay run to pay funds owed to employees as well as have Abe correct the pay codes for these Management at Will employees.

Please let me know if there are any questions.

Thank you,
Katherine I. Stevens
Director of Finance

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: 909-421-7242 | Mobite: 909-744-7533 | Email: Kstevens@riltosagov CUSTOMERCARE|SAME DAY

BRIDGE TO PROGRESS
From: Shama Curian <[email protected]
ent: Monday, February 5, 2024 10:10 AN
To: Katherine Stevens <[email protected]>
Ce: Tanya Williams <[email protected]>
Subject: RE: Management at Will Benefit
Good morning, Katherine
As discussed this morning, it seems that the employees in the unrepresented management group were currently receiving a cash- back.

Thank you for bringing this to my attention.

Kind regards,
Shama Curian
Director of Human Resources and Risk Management
x.7293
From: Katherine Stevens <[email protected]>
ubject: Management at Will Benef
nportance: Hig
Hi Shama,
The payroll team is still not clear on the Management at Will Cafeteria Plan Allotment based on the MOU.

Is the Management at Will group that selects insurance entitled to the full $1550 or only what is being used? Thank you for your assistance.

Katherine I. Stevens
Director of Finance

CITY OF RIALTO
150 S. Palm Avenue, Rialto, CA 92376
Office: 909-421-7242 | Mobile: 909-744-7533 | Email: kstevens@rialtoca gov

CUSTOMERCAREI

SAME DAY RESPONSE

BRIDGE TO PROGRESS
MGMT at Will Caf Audit
Service Date Emp # Last Name First Name Period Pay Special Required Amt Owed 3/1/1998 $ 775.00 No N/A
11/14/2005 $ 775.00 No N/A
7/16/2018 $ 600.00 No N/A
8/18/2019 $ 100.00 No N/A
11/26/2018 600.00 No
1/24/2022 2462 CERVANTES ARTHUR $ 775.00 Yes $ 328.02
2/14/2022 $ 775.00 Yes 1,326.30
2/7/2022 $ 775.00 No N/A
10/3/2022 $ 100.00 No N/A
10/10/2022 775.00 Yes 365.70
11/7/2022 775.00 Yes 370.26
10/9/2023 $ 775.00 No N/A
ATTACHMENT 8
Paycheck Medical Cafeteria Received Cafeteria owed to reach $775 total per check Eden
Financial
System 9/30/2022 $ - $ 775.00
10/14/2022 $ 775.00 $
10/28/2022 $ 775.00 $
11/10/2022 $ 775.00 $
11/25/2022 $ 775.00 $
12/9/2022 $ 524.51 $ 250.49
12/23/2022 $ 524.51 $ 250.49
1/6/2023 $ 522.71 $ 252.29
1/20/2023 $ 522.71 $ 252.29
2/3/2023 $ 522.71 $ 252.29
2/17/2023 $ 522.71 $ 252.29
3/3/2023 $ 522.71 § 252229 252.29
3/17/2023 $ 522.71
3/31/2023
4/14/2023 $ 522.71 $ 252.29
4/28/2023 $ 522.71 $ 252.29
5/12/2023 $ 522.71 252.29
5/26/2023 $ 522.71 $ 252.29
6/9/2023 $ 522.71 $ 252.29
6/23/2023 $ 522.71 $ 252.29
7/7/2023 $ 522.71 $ 252.29
7/21/2023 $ 522.71 $ 522.71 $ 252.29
ERP
Financial
System 8/4/2023 $ 522.71 $ 775.00 $ $ 252.29
8/18/2023 $ 522.71 $ 775.00 $ $ 252.29
9/1/2023 $ 522.71 $ 775.00 $ 252.29
9/15/2023 $ 522.71 $ 775.00 anises $ 252.29
10/13/2023 $ 522.71 $ 775.00 $ 252.29
10/27/2023 $ 522.71 $ 775.00 $ $ 252.29
-Amount already received that
11/10/2023 $ 522.71 $ 775.00 $ - $ 252.29 $ 3,330.40 city claims need to be paid back 11/24/2023 $ 522.71 $ 775.00 $ 252.29
12/8/2023 $ 446.98 $ 775.00 -
12/22/2023 $ 446.98 $ 775.00
1/5/2024 $ 446.98 $ 775.00 $ $ 328.02
1/19/2024 $ 446.98 $ 775.00 $
2/2/2024 $ 446.98 $ 446.98 $ 328.02
2/16/2024 $ 446.98 $ 328.02
3/1/2024 $ 446.98 $ 328.02
3/15/2024 $ 446.98 $ 328.02
3/29/2024
4/12/2024 $ 446.98 $ 328.02
4/26/2024 $ 446.98 $ 328.02
5/10/2024 $ 446.98 328.02
5/24/2024 $ 446.98 $ 328.02
6/7/2024 $ 446.98 $ 328.02
6/21/2024 $ 446.98 328.02
7/5/2024 $ 446.98 $ 328.02
Amount City owes $ 8,416.26
ATTACHMENT 9

YOFRI CALIFO
2024

BENEFITS

CITY OF
RIALTO

MANAGEMENT - (UNREPRESENTED)

BENEFITS PROFILE
The following is an informational guide provided to serve as a general outline of employee compensation and benefits associated with those Confidential At-will Management employees with the City of Rialto.

The following classifications comprise this at-will group:
• Assistant to the City Manager
• Building Official
• City Manager's Executive Assistant
• City Manager's Assistant
Community Compliance Manager
• Community Development Manager
Economic Development Manager
• Deputy Director of Maintenance & Facilities
• Deputy Director of Finance
• Engineering Manager
• Information Technology Manager
• Principal Budget and Financial Analyst
• Utilities Manager
At-Will Status:

Management - Unrepresented positions are designated as having "at-will" employment status. Employees hired into "at-will" positions shall have no constitutionally protected property or other interest in their employment with the City. Notwithstanding any provision in the city Policies & Procedures or any other City Policy, at-will employees have no right to continued employment or pre-or post-disciplinary due process and work at the will and pleasure of the hiring authority (City Council, City Manager, or Council- Appointed Authority). Work for an at-will employee may be eliminated and/or the employee may be terminated, or asked to resign, at any time, with or without cause, upon notice to that employee, and the employee may resign at any time upon written notice to the hiring authority.

At-will employees will be eligible for, and shall receive, all regular benefits (i.e., health insurance, PERS contribution to the extent paid by City, etc.) and vacation, sick leave, and administrative leave as are generally provided to management employees and described in this benefit profile, as amended from time to time. At-will employees who are terminated or asked to resign shall, upon execution of a release of all claims against the City, be eligible for a severance payment equivalent to two (2) months of salary and benefits. No severance shall be paid if the employee is terminated for serious misconduct involving abuse of his or her office or position, including but not limited to waste, fraud, violation of the law under color of authority, misappropriation of public resources, violence, harassment or discrimination. If the employee is later convicted involving such abuse of his or her position the employee shall fully reimburse the City as set forth in Government Code section 532243.3.

COMPENSATION
This section applies to all management and professional employees and does not include the City Manager, Elected Officials or members of the Executive Team.

The City's policy for management and professional compensation is to establish and maintain a general structure based on marketplace norms and internal job alignment with broad compensation grads and ranges. Structures and ranges will be reviewed and updates as necessary based on marketplace survey data, internal relationships, and City financial conditions.

Individual compensation adjustments will be considered by the Council appointed officer based on (1) performance factors including achievement of predetermined objectives; (2) pay structure adjustments; and (3) City financial conditions.

Salary:

Established by City Council via the City of Rialto Classification and Compensation Plan.

Basic Plan Elements:

Competitive marketplace studies will be conducted as needed by surveying comparable organizations similar to Rialto in number of employees, funding mechanisms, population and services provided. These studies will focus on total compensation for management positions. Periodically, studies will include position-by-position comparisons using market research and internal equity data. The results of these studies may indicate that the entire pay structure be adjusted, that individual positions be reassigned to different pay grades, or that no change takes place. Such adjustments will only affect the salary plan framework. No individual salaries will be automatically changed because of structural adjustments.

A Department Director, with approval from the City Manager, may request that Human Resources reevaluate a job or jobs in his or her department based on significant and permanent changes in job content.

In doing so, the Director will supply needed information and will provide a position description questionnaire as requested. The Human Resources/Risk Management Director will respond to such request within his or her discretion.

Salary Range:

Salary ranges consist of seven (7) steps.

Salary Adjustments:

Salary adjustments established by City Council.

The City Manager may propose as part of the budget process for City Council approval of a compensation adjustment based on (I) competitive market data, (2) changes in internal position relationships, (3) the City's ability to pay, and (4) a recommendation received from the Director of Human Resources/Risk Management.

Salary Progression:

Employees shall be paid in accordance with the Classification and Compensation Plan. Step advancement may take place after six (6) months if hired at step 1. Otherwise, advancement is typically following twelve (12) months of satisfactory service.

Performance appraisals will be conducted at the end of each fiscal year during the months of July through September 30 each year prior to determining individual employee fixed compensation. This process includes both review of previous performance and preparation of the performance plan for the upcoming evaluation period (typically the following fiscal year). Performance plans are jointly prepared by the employee and the supervisor with the concurrence of the Department Head. The performance plans shall contain measurable objectives which place special emphasis on position description duties or specific assignments. Progress toward meeting objectives shall be monitored periodically. The performance evaluations should be implemented in a manner that will achieve the following objectives:
• Define the employee's job duties and expected level of performance for the next review period to ensure that both the employee and supervisor have a clear understanding of the employee's role and responsibilities;
• Evaluate and document past performance to serve as a basis for establishing and obtaining future performance standards/objectives;
• Facilitate two-way communication and understanding between the employee and his or her supervisor;
• Counsel and encourage employees to work toward a learning development plan and realize their full potential;
• Establish future work plan objectives.

SPECIAL COMPENSATION:

Education and Certification Incentive Pay:
• Employees with a Masters' degrees will receive a seven percent (7.5%) pay increase. The increase in pay only applies if the employee has a degree higher than required of the position / classification.

Working Above Classification Pay:
• Where management and professional employees, on a temporary basis, are assigned to perform all significant duties of a higher classification for a period of one month or more, the City Manager may authorize payment within the range of the higher classification for the specified time frame.

Working above classification will not exceed six months, unless renewed at the discretion of the City Manager. On expiration of that timeframe, working above classification pay will cease and the employee will return to his or her former pay level. Working above classification pay is not to exceed 10% more than the employee's current salary and shall be documented on a Personnel Action For, with a description of the additional duties in the higher classification to be performed and an anticipated end date.

BENEFITS
Cafeteria Plan Allotment:

Employees in the Unit shall be provided with a Cafeteria Plan, which will be administered by the City pursuant to Section 125 of the Internal Revenue Code. The Cafeteria Plan is designed to give employees the flexibility to choose various medical, vision and dental benefits provided through City plans. The employee may also choose the opt-out provision of the Cafeteria Plan as outlined below. The City's contribution to the Cafeteria Plan for each employee will be one thousand, five hundred and fifty dollars per month (1,550) to go towards the employee's contributions for health, vision, and dental insurance premiums.

Cafeteria Benefit Plan:

Employees in the Management (Unrepresented) group shall be provided with a Cafeteria Plan that will be administered by the City pursuant to Section 125 of the Internal Revenue Code.

A. Employees Hired Before December 31, 2018

1. Employees have the choice of applying Cafeteria Plan dollars of $1,800 to purchase health, vision, and/or dental benefits provided through City plans for themselves and any dependents. Any amount not used to purchase such benefits shall be taken by the employee in taxable income. The employee may also choose the opt-out provision of the cafeteria plan as outlined in this section A(3) below.

2. The City will contribute the minimum employer contribution required pursuant to Government Code §22892(b) ("Minimum Contribution") per month per employee for health insurance. The City shall pay up to a maximum of $1,800 per month inclusive of the minimum contribution towards the employee's contribution for medical, vision, and dental insurance premiums. If the premium cost of the health plans (medical, vision, and/or dental) exceeds the City's contribution of $1,800, the employee shall pay through payroll deduction the difference between the monthly premium and the amount contributed by the City.

3. The opt-out provision will allow employees to receive $1,200 of the City's contribution if they do not utilize the City's medical plans. An employee can still purchase dental and/or vision and receive the opt-out monies. An employee must provide the City with written notice/waiver of paid group health insurance premiums for which the employee is eligible. Then, the employee shall be provided up to 100% of the City contribution which may be taxable compensation or be placed into a deferred compensation plan. Documentation is required annually to verify that insurance is established.

B. Employees Hired On or After January 1, 2019

1. Employees have the choice of applying Cafeteria Plan dollars of $1,800 to purchase medical, vision, and/or dental benefits provided through City plans for themselves and any dependents.

Any amounts not used shall not be taken by the employee as taxable income or in deferred compensation.

2. The City will contribute the minimum employer contribution required to Government Code §22892(b) ("Minimum Contribution" per month per employee for health insurance. The City shall pay up to a maximum of $1,800 per month inclusive of the minimum contribution towards the employee's contribution for medical, vision, and dental insurance premiums. If the premium cost of the health plans (medical, vision, and/or dental) exceeds the City's contribution of $1,800, the employee shall pay through payroll deduction the difference between the monthly premium and the amount contributed by the City.

3. Those employees that do not utilize the Cafeteria Plan allowance for medical insurance, there shall be no cash back to the employee. Those employees hired on or after January 1, 2019, who elect to opt out of medical insurance shall receive $100 per pay period (24 pay periods) opt-out allowance. An employee can still purchase dental and/or vision and receive these opt-out monies. An employee must provide the City with written notice/waiver of paid group health insurance premiums for which the employee is eligible. Then, the employee shall be provided up to 100% of the City contribution which may be taxable compensation or be placed into a deferred compensation plan. Documentation is required to verify that insurance is established.

Retiree Medical: Retirees are not eligible for the full Cafeteria Plan amount. Retirees, however, shall retain all current CaIPERS health benefits. The City shall contribute to the retired employees PERS Health plan according to the following schedule:

Retirement Status: Contribution:

Retiree Only $279.25 / month
Retiree + 1 $558.49 / month
Retiree + 2 or More $726.04/month
The City shall not reimburse Medicare premiums for employees or retirees.

Retirees and dependents must meet the definition of "annuitants" as defined by PERS to be eligible for this provision.

City Sponsored Dental Insurance: Employees may utilize their Cafeteria Plan provision to cover the costs associated with Dental Insurance.

City Sponsored Vision Insurance: Employees may utilize their Cafeteria Plan provision to cover the costs associated with Vision Care Insurance.

Life Insurance: The City will pay the cost of employee and dependent life insurance coverage at the following base levels:

Covered Unit Coverage Amount:

Employee $75,000
Spouse $25,000
Registered Domestic Partner $25,000
Children $5,000
Income Protection Insurance (Short-Term Disability): The City shall contribute one hundred percent (100%) of the premium annually for income protection insurance for active employees. (The actual benefit amount equates to $125.00 per week) if utilized.

Flexible Spending Account (FSA): Employee paid through pre-tax payroll deductions, subject to IRS annual limits.

Deferred Compensation: All Management/Unrepresented employees receive four hundred dollars ($400.00) per month in deferred compensation.

Employees will have access to the 401A, Money Purchase Pension Plan and Trust, subject to City Council modification of the plan as authorized by federal and state laws.

Employee Assistance Program (EAP): Offers limited free and confidential counseling and referral services to employees related to work, personal, and life issues.

State Disability Insurance: Employees shall pay one hundred percent (100%) of the cost of State Disability Insurance (SDI) through payroll deduction.

LEAVES
Holidays:

The City recognizes the following holidays per calendar year:

New Year's Day Labor Day
Martin Luther King Day Veteran's Day
President's Day Thanksgiving Day
Cesar Chavez Day Friday after Thanksgiving
Memorial Day Christmas Eve
Juneteenth Christmas Day
Independence Day
Holidays that fall on a Friday or Saturday will be observed on the preceding Thursday; holidays that fall on a Sunday will be observed the following Monday.

Holiday Closure: During the week of Christmas Eve through New Year's Day, the City offices will be closed. Employees may utilize accrued administrative leave, vacation leave, compensatory time, or floating holidays, in addition to the holidays; in order to receive full pay for the closure time period.

Vacation Leave:

Years of Service Annual Accrual
Prorated Accrual - 80 hours awarded upon
0 - 1 Year completion of 365 days (2080 hours)
1 - 4 Years 6.00 Hours/pay period
5 - 10 Years 7.50 Hours/pay period
11-16 Years 9.50 Hours/pay period
17+ Years [10.50 Hours/pay period
Vacation Accrual Cap: Employees within the Management Unit may not accrue more than six hundred (600) hours of vacation leave. Vacation accruals will resume once the employee's accumulated vacation balance falls below six (600) hours.

Sick Leave: Employees within the Management Unit will accrue at the rate of 120 hours per fiscal year or (4.615 per pay period).

Upon separation from City service due to retirement, resignation, layoff or death, the Employee shall be paid at his current base hourly rate for their accumulated and unused sick leave as follows:

Years of Service Percentage to Be Paid
5 - 9 years 50%
10 - 14 years 65%
15 - 19 years 75%
20 years or more 100%
An employee may use accumulated but unused sick leave while on an absence due to an industrial injury in addition to any worker's compensation payment; the combination of the two shall not exceed one hundred percent (100%) of Employee's base salary.

Optional Annual Vacation/Sick Leave Cash Out
Effective December 1, for for calendar year 2025(1/1/2025) and every year thereafter: In December of each year, employees may irrevocably elect to cash-out up to 210 combined total of hours of vacation and/or sick time to be accrued in the following calendar year that are both accrued and unused at the time of the cash out.

Use of Vacation/Sick Cash-Out
A. In order to cash out, the employee must submit an irrevocable election form, no later than December 1 of the preceding calendar year specifying the amount of hour of each kind of leave requested to cash out, and specifying how much shall occur in each of the 2 annual distributions. The cash-out is only for hours to be accrued in the calendar year following submission of the irrevocable election form.

Regardless of the number of leave hours elected, only those hours that were accrued in the calendar year after the irrevocable election that remain unused at the time of the distribution shall be cashed out.

B. The two annual distributions shall be June 1st and December 1st of each calendar year.

C. Employees who do not submit an irrevocable election form by December 1 will be deemed as foregoing participation in the optional annual leave cash-out program for that following calendar year.

D. Cash-outs shall not deplete the employee's vacation below 80 hours. The cash-out shall be at the employee's current base salary rate, not the FLSA regular rate of pay, but shall include salary and special compensation, yet exclude overtime and cafeteria payments, at the time of cash-out.

E. This section does not preclude an employee the ability to deposit unused hours into their 457(b) deferred compensation account or their RHSA (once established) throughout the year, up to the statutory limits.

Administrative Leave: Employees will be credited with administrative leave as follows:

A. One hundred twenty (120) hours administrative leave.

B. Administrative leave hours will be credited on July 1; hours must be used by June 30 of the following year.

C. Administrative leave hours do not accumulate; hours not used by June 30 of each year are forfeited.

D. Administrative leave hours will be prorated only when employees enter the unit.

Bereavement Leave: Any eligible employee whom is absent from work by reason of death in the immediate family may be allowed a leave of absence with pay. Up to three (3) cumulative working days (30 hours) per occurrence may allowed to attend funeral services, which will not be deducted from the employee's leave bank.

Jury Duty: An employee may be absent for up to ten (10) hours per day for jury duty.

Military Leave: In accordance with the Military Leave and Veterans Code, Section 395, any public employee who is a member of the reserve corps of the U.S. or National Guard, or the Naval Militia shall be entitled to temporary leave of absences as provided by federal law while engaged in active military duty (including training, encampment, naval cruises, special exercises, or like activity providing that the period of ordered duty does not exceed 180 calendar days.

RETIREMENT
California Public Employees' Retirement System (CalPERS):

Tier 1 ("Classic" Members): 2.7% at 55 formula with widow's one-half continuance.

Tier 2 ("New" Members/PEPRA): 2% at 62 formula.

Employees who are new members, as defined above, shall be required to pay fifty percent (50%) of the expected normal cost rate for their benefits. (This amount is six and three-quarters percent (6.75%) of reportable compensation as of January 1, 2013).

Employees who are not new members shall be required to pay a total of eight percent (8%) of their salary, on a pre-tax basis, towards PERS costs. All contributions made by employees described in the previous section above shall be in accordance with IRS Code §414(h)(2) (or any subsequent amendments to said IRS code section), whereby employee contributions described above shall be tax deferred (not subject to taxation until time of constructive receipt.

ADDITIONAL BENEFITS
Automobile Allowance: Specific to "Managers" within the Management, Unrepresented, At-Will Group, namely the following classifications: City Manager's Assistant, City Manager's Executive Assistant, Community Compliance Manager, Community Development Manager, and Utilities Manager the City may provide the employee with the option of the use of a City vehicle.

Bilingual Pay: The City shall pay One Hundred Dollars ($100) per pay period to Employee upon passage of the City examination for fluency in Spanish.

Cell Phone / Technology Allowance: Specific to "Managers" within the Management, Unrepresented, At-Will group, the City shall provide employee with a City cell phone for the conduct of City business only, paid by the City.

Educational Reimbursement: The City agrees to reimburse employees up to two thousand five hundred dollars ($2,500) per fiscal year for expenses for tuition and books, provided that the employee achieves a passing grade in the course.

Longevity Pay:

Employees with five (5) to nine (9) years of cumulative City of Rialto service will receive longevity pay equal to three percent (3%) of his or her base salary. Employees with ten or more years of cumulative City of Rialto service will receive longevity pay equal to six percent (6%) of his or her base salary.

To the extent applicable and permitted by law, this pay shall be reportable to CaPERS as special compensation or pensionable compensation pursuant to Title 2, Sections 571 and 571.1 of the California Code of Regulations.

Rialto Fitness Center: Employees, employees' spouses, retirees, and retirees' spouses shall be allowed free use of the Rialto Fitness Center during normal operating hours if the City has managerial control of the facility. Employees, employees' spouses, retires, and retires' spouses shall adhere to the same regulations regarding reservations and use and care of the facilities as the general public.

Severance Pay: Specific to "Managers" within the Management, Unrepresented, At-Will Group, namely the following classifications: City Manager's Assistant, City Manager's Executive Assistant, Community Compliance Manager, Community Development Manager, Human Resources/Risk Manager and Utilities Manager may be offered severance pay to a member upon termination of employment without cause, in the amount of two (2) months of the employee's then current base salary and benefit levels.

At the City Manager's discretion, severance pay shall be issued as a lump sum or in accordance with the City's regular pay periods.

NOTES

2022

CITY OF
RIALTO

MANAGEMENT - (UNREPRESENTED)

The following classifications comprise this at-will group:
• Assistant to the City Manager
• Building Official
• City Manager's Executive Assistant
• City Manager's Assistant
• Community Development Manager
• Deputy Maintenance & Facilities Director
• Deputy Director of Finance
• Deputy Director of Human Resources/Risk Management
• Economic Development Manager
• Information Technology Manager
• Principal Budget and Financial Analyst
• Public Relations Officer
• Utilities Manager
At-Will Status:

Management - Unrepresented positions are designated as having "at-will" employment status. Employees hired into "at-will" positions shall have no constitutionally protected property or other interest in their employment with the City. Notwithstanding any provision in the city Policies & Procedures or any other City Policy, at-will employees have no right to continued employment or pre-or post-disciplinary due process and work at the will and pleasure of the City Manager. Work for an at-will employee may be eliminated and/or the employee may be terminated, or asked to resign, at any time, with or without cause, upon notice to that employee, and the employee may resign at any time upon written notice to the hiring authority.

COMPENSATION
This section applies to all at-will management and professional employees and does not include the City Manager, Elected Officials or members of the Executive Team.

Individual compensation adjustments will be considered by the City Manager based on (1) performance factors including achievement of predetermined objectives; (2) pay structure adjustments; and (3) City financial conditions.

Salary:

Established by City Council via the City of Rialto Classification and Compensation Plan.

Basic Plan Elements:

Salary Range:

Salary ranges consist of seven (7) steps.

Salary Adjustments:

Salary adjustments established by City Council.

The City Manager may propose as part of the budget process for City Council approval of a compensation adjustment based on (1) competitive market data, (2) changes in internal position relationships, (3) the City's ability to pay, and (4) a recommendation received from the Human Resources/Risk Management Director.

Salary Progression:

SPECIAL COMPENSATION:

BENEFITS
Cafeteria Plan Allotment:

Employees in the Unit shall be provided with a Cafeteria Plan, which will be administered by the City pursuant to Section 125 of the Internal Revenue Code. The Cafeteria Plan is designed to give employees the flexibility to choose various medical and dental benefits provided through City plans. The employee may also choose the opt-out provision of the Cafeteria Plan as outlined below. The City's contribution to the Cafeteria Plan for each employee will be one thousand, five hundred and fifty dollars per month ($1,550) to go towards the employee's contributions for health, vision, and dental insurance premiums.

City Sponsored Medical Insurance: Employees may utilize their Cafeteria Plan provision to cover the costs associated with Medical Insurance.

Cafeteria Plan - Opt Out Provision:

Employees may opt to receive an in-lieu payment of up to one thousand two hundred dollars ($1,200) per month of the City's contribution if they do not purchase any of the benefits provided by the city. Effective January 1, 2019; any newly hired employees shall be limited to a one hundred dollar ($100.00) twice per month (24 times per year) opt out allowances for not using City medical insurance.

An employee must provide the city with written notice/waiver of paid health insurance premiums for which the employee is eligible.

Retiree Medical: Retirees are not eligible for the full Cafeteria Plan amount. Retirees, however, shall retain all current CaPERS health benefits. The City shall contribute to the retired employees PERS Health plan according to the following schedule:

Retirement Status: Contribution:

Retiree Only $279.25 / month
Retiree + 1 $558.49 / month
Retiree + 2 or More $726.04/month
The City's contribution amounts above for retirees, and the City's contribution amounts provided in Article 6 for employees, include the Public Employee's Medical and Hospital Care Act statutory minimum insurance amount required under Government Code Section 22892(B)(2) (which is currently $125 per month as of 2016) for each retiree and employee enrolled in CaPERS.

The City shall not reimburse Medicare premiums for employees or retirees.

Retirees and dependents must meet the definition of "annuitants" as defined by PERS to be eligible for this provision.

City Sponsored Dental Insurance: Employees may utilize their Cafeteria Plan provision to cover the costs associated with Dental Insurance.

City Sponsored Vision Insurance: Employees may utilize their Cafeteria Plan provision to cover the costs associated with Vision Care Insurance.

Life Insurance: The City will pay the cost of employee and dependent life insurance coverage at the following base levels:

Covered Unit Coverage Amount:

Flexible Spending Account (FSA): Employee paid through pre-tax payroll deductions, subject to IRS annual limits.

Deferred Compensation: All Management/Unrepresented employees receive four hundred dollars ($400.00) per month in deferred compensation.

Employees will have access to the 401A, Money Purchase Pension Plan and Trust, subject to City Council modification of the plan as authorized by federal and state laws.

Employee Assistance Program (EAP): Offers limited free and contidential counseling and reterral services to employees related to work, personal, and life issues.

State Disability Insurance: Employees shall pay one hundred percent (100%) of the cost of State Disability Insurance (SDI) through payroll deduction.

LEAVES
Holidays:

The City recognizes the following holidays per calendar year:

New Year's Day - January 1st
Martin Luther King Jr., Birthday - 3º Monday in January President's Day - 3rd Monday in February
Cesar Chavez Day - March 31st
Memorial Day - last Monday in May
Independence Day - July 4th
Labor Day - 1s Monday in September
Veteran's Day - November 11th
Thanksgiving Day - 4th Thursday in November
Day after Thanksgiving
Christmas Eve - December 24th
Christmas Day - December 25th
Holidays that fall on a Saturday will be observed on the preceding Friday; holidays that fall on a Sunday will be observed the following Monday.

Vacation Leave:

Years of Service Annual Accrual
0 - 4 years 120 hours
5 + years 160 hours
Employees shall be eligible to cash out up to two hundred ten (210) hours of vacation and/or sick leave, combined, per fiscal year. The cash-out may be taken in any increment amount up to 210 hours and at any time during the fiscal year. The cash-out of leave will be at the employee's base salary rate at the time of cash out.

Vacation Accrual Cap: Employees within the Management Unit may not accrue more than six hundred (600) hours of vacation leave. Vacation accruals will resume once the employee's accumulated vacation balance falls below six (600) hours.

Sick Leave: Employees within the Management Unit will accrue at the rate of 120 hours per fiscal year or (4.615 per pay period).

Employees shall be eligible to cash out up to two hundred ten (210) hours of vacation and/or sick leave, combined per fiscal year. The cash out may be taken in any increment amount up to 210 hours and at any time during the fiscal year. The cash out of leave will be at the employee's base salary rate at the time of cash out.

Upon separation from City service due to retirement, resignation, layoff or death, the Employee shall be paid at his current base hourly rate for their accumulated and unused sick leave as follows:

Administrative Leave: Employee's will be credited with one hundred twenty (120) hours of administrative leave on July 1 of each fiscal year. Effective July 1, sixty (60) hours of administrative leave will be credited to the bank and January 1* the remaining sixty (60) hours of administrative leave shall be added to the employee's bank for use thru June 30th. Hours must be used by June 30th of the fiscal year.

Administrative leave hours will be pro-rated and credited based on an employee's hire date (onboarding).

Jury Duty: An employee may be absent for up to ten (10) hours per day for jury duty.

Military Leave: In accordance with the Military Leave and Veterans Code, Section 395, any public employee who is a member of the reserve corps of the U.S. or National Guard, or the Naval Militia shall be entitled to temporary leave of absences as provided by federal law while engaged in active military duty (including training, encampment, naval cruises, special exercises, or like activity) providing that the period of ordered duty does not exceed 180 calendar days.

RETIREMENT
California Publie Employees' Retirement System (CalPERS):

Tier 1 ("Classic" Members): 2.7% at 55 formula with widow's one-half continuance.

Tier 2 ("New" Members/PEPRA): 2% at 62 formula.

Employees who are not new members shall be required to pay a total of eight percent (8%) of their salary, on a pre-tax basis, towards PERS costs. All contributions made by employees described in the previous section above shall be in accordance with IRS Code Section 414(h)(2) (or any subsequent amendments to said IRS code section), whereby employee contributions described above shall be tax deferred (not subject to taxation until time of constructive receipt).

ADDITIONAL BENEFITS
Automobile Allowance: Specific to "Managers" within the Management, Unrepresented, At-Will Group, the City may provide the employee with the option of the use of a City vehicle.

Bilingual Pay: The City shall pay One Hundred Dollars ($100) per pay period to Employee upon passage of the City examination for fluency in Spanish.

Longevity Pay: An employee shall receive longevity pay upon ten (10) or more years of service with the City of Rialto as follows:

Years of Cumulative City Service Pay on Anniversary
0 - 9 years 0.00
10 through 14 years 1.5% of base Salary
15 through 19 years 2.25% of base Salary
20 or More years 3.5% of base Salary
Rialto Fitness Center: Employees, employees' spouses, retirees, and retirees' spouses shall be allowed free use of the Rialto Fitness Center during normal operating hours if the City has managerial control of the facility. Employees, employees' spouses, retires, and retires spouses shall adhere to the same regulations regarding reservations and use and care of the facilities as the general public.

Severance Pay: Specific to "Managers" within the Management, Unrepresented, At-Will Group may be offered severance pay to a member upon termination of employment without cause, in the amount of two (2) months of the employee's then current base salary and benefit levels.

At the City Manager's discretion, severance pay shall be issued as a lump sum or in accordance with the City's regular pay periods.

NOTES
ATTACHMENT 10
1 2 RESOLUTION NO._
3 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
4 RIALTO, CALIFORNIA, ESTABLISHING TERMS AND

CONDITIONS BENEFITS EXECUTIVE
5 MANAGEMENT AND UNREPRESENTED MANAGEMENT
6 WHEREAS, the City Council desires to incorporate changes to Executive 8 Management and Unrepresented Management Employees' terms and conditions and benefits; 9 and
10 WHEREAS, salaries for Executive Management and Unrepresented Management are adjusted by resolution and are reflected on the City's Classification and Compensation 12 Plan Schedule; and
13 WHEREAS, the City Council desires to incorporate changes to benefits similar to those of other Associations for the Executive Management and Unrepresented Management 15 for FY 2023-24; and
16 WHEREAS, the City Council desires to provide a one time bonus of $1,610.00 to 17 those employees within the Executive Management and Unrepresented Management 18 classifications.
19 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RIALTO DOES 20 HEREBY FIND, DETERMINE, AND RESOLVE AS FOLLOWS:
21 Section 1: The Benefits and other terms and conditions of employment for Executive 23 Management and Unrepresented Management shall be as in Exhibit "A" and Exhibit "B" 24 respectively, attached hereto.
25 Section 2: Those employees within the Executive Management and Unrepresented 26 Management classifications on City payroll at the time of ratification of this resolution shall 27 receive a one-time non-PERSable bonus of $1,610 to be distributed through payroll. 28 - 1-
1 RESOLUTION NO.
2 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
3 RIALTO, CALIFORNIA, UPDATING THE CITYWIDE

CLASSIFICATION AND COMPENSATION SCHEDULE FOR
4 FULL-TIME AND PART-TIME EMPLOYEES
5 6 WHEREAS, the City of Rialto ("City") contracts with the California Public Employees Retirement System ("CalPERS") to provide retirement benefits for its employees; and 8 WHEREAS, California Code of Regulations, Title 2, Section 570.5 requires governing 9 bodies of local agencies contracting with CalPERS to approve and adopt a publicly available 10 pay schedule in accordance with public meeting laws; and WHEREAS, the pay schedule must identify each position by title, the individual payrate 12 amount or ranges for that position, and the time base upon which the amounts are based; and 13 WHEREAS, Section 2.12.070 of the Rialto Municipal Code requires that the offices and 14 positions in the City employment be fixed and established by resolution of the City Council; 15 and
16 WHEREAS, Rule IV of the City's Personnel Rules, as adopted by the City Council in 17 Resolution No. 4092 on January 3, 1995, states that the Personnel Officer shall submit a salary 18 resolution that establishes the minimum through the maximum salary rate of pay for employee 19 classifications, which shall be adopted by the City Council ("Classification/Compensation 20 Plan"); and
21 WHEREAS, the City negotiated Memoranda of Understanding ("MOU") with the Rialto 22 Police Benefit Association - Police General Bargaining Unit ("RPBA-General"); Rialto Police 23 Benefit Association - Management Bargaining Unit ("RPBA- Management); the Rialto Fire 24 Management Association ("RFMA), the Rialto Professional Firefighters' Association Local 25 3688, ("Local 3688"); the Rialto City Employees' Association ("REA"), the Unrepresented, 26 Unrepresented Management and Executive Management; and 27 WHEREAS, the City has given appropriate notice and an opportunity to meet and confer 28 over all matters within the scope of representation to all bargaining units affected by these changes, and has completed that process; and
-1-

Rialto City CouncilSeptember 10, 2024

Rialto City Council
September 10, 2024